The impact of social responsibility on financial performance of listed companies in the food manufacturing industry - the mediating role of debt financing costs
DOI:
https://doi.org/10.62051/94rvkw41Keywords:
social responsibility; financial performance; debt financing costs.Abstract
Whether food manufacturing enterprises can fulfill their social responsibilities to ensure the cleanliness and hygiene of food is very important for people's health. However, the fulfillment of social responsibility can tie up the resources of a business. Enterprise resources are inseparable from the development of enterprises. At the same time, due to the information asymmetry in the market, there are information barriers between some creditors and enterprises. As a result, companies may incur higher debt financing costs in order to obtain funds from creditors. The fulfillment of corporate social responsibility can often convey information to creditors and break down information barriers. In summary, it is of certain significance whether the fulfillment of corporate social responsibility can affect financial performance and debt financing costs. This paper takes listed companies in the food manufacturing industry from 2017 to 2021 as the research object, and analyzes the relationship between social responsibility, financial performance, and debt financing cost, so as to provide a certain reference for enterprises to fulfill their social responsibilities.
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